TMI Blog2012 (10) TMI 1052X X X X Extracts X X X X X X X X Extracts X X X X ..... enue is against the order of the Commissioner of Income Tax (Appeals), Chandigarh dated 18.05.2012 relating to assessment year 2009-10 against the order passed u/s 143(3) of Income Tax Act, 1961 (in short the Act ). 2. The Revenue has raised the following grounds of appeal: 1. On the facts and circumstances of the case and in law, the learned CIT(A) has erred in allowing appeal of the asses ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... wards Ladowal Farm against gross receipts of ₹ 14,01,586/-. The Assessing Officer following the addition made in the earlier Assessment Years i.e. 2005-06 and 2006-07, disallowed ₹ 81.90 lacs as capital expenses incurred for the purpose of developing the land, out of total expenditure of ₹ 89.11 lacs. Similar issue of allowability of expenditure, which was partly held to be capit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing an advantage in the capital field and hence, it cannot be held that the are capital expenditure. 10. The impugned expenditure has been incurred towards furtherance of business objectives. Clearly, the monies recovered by selling the produce raised on the land in question has been accounted for by the appellant in its Revenue account. The mere fact that in the initial year the expenses have ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pital in nature. From the aforesaid, it is evident that the expenses undertaken by the assessee are expenses for carrying out normal faming activities and no adhoc basis can be adopted to segregate the expenditure between capital nature and Revenue. 5. The Tribunal in assessee s own case relating to assessment year 2005-06 had allowed expenditure of ₹ 33.74 lacs out of total expenditur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... resent appeal is identical to the issue raised before the Tribunal in assessment years 2005-06, 2006-07 and 2008-09 and following the same, we uphold the order of the CIT (Appeals) and dismiss the ground of appeal raised by the Revenue. 6. In the result, appeal of the Revenue is dismissed. Order pronounced in the open court on this 30th day of October, 2012. - - TaxTMI - TMITax - Income ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
